Covid-19: Local Government Finance Debate
Full Debate: Read Full DebateLord Rooker
Main Page: Lord Rooker (Labour - Life peer)Department Debates - View all Lord Rooker's debates with the Ministry of Housing, Communities and Local Government
(4 years, 4 months ago)
Lords ChamberMy Lords, I can give an assurance that a comprehensive plan will be announced shortly. It is a little unfortunate that the timing of this Question is before that announcement. Of course, these general measures will support the vast majority of councils through the difficult process ahead; any individual councils that have problems should contact the department, or myself or other Ministers responsible.
How would a chief financial officer judge the Secretary of State’s view at the No. 10 press conference on 18 April when he said:
“At the beginning of this emergency I told local councils that we would give them the resources they need to do the job. And I meant it.”
Would the Government consider asking CIPFA and the NAO to conduct a study of local government extra expenditure so there can be trust on both sides before any council declares bankruptcy?
We need to recognise that monthly reports are now provided to the ministry by all local authorities so we can keep track of expenditure. Broadly speaking, the first two tranches, totalling some £3.2 billion, are in line with—or approximately the same as—the money spent to address demand pressures related to Covid-19. In addition, a number of other steps have been taken to deal with cash-flow emergencies and other pressures. As I said in response to the previous question, the definitive financial plan will be made but we will continue to keep close contact with councils.